EXHIBIT 2

                                  Press Release

                    THE SMITHFIELD COMPANIES, INC. ENGAGED IN
                       EXCLUSIVE MERGER NEGOTIATIONS WITH
                             SMITHFIELD FOODS, INC.


         PORTSMOUTH, VA, April 26, 2001 - The Smithfield Companies, Inc.
(OTC:HAMS) today announced that it is engaged in negotiations with Smithfield
Foods, Inc. regarding the possible acquisition of The Smithfield Companies by
Smithfield Foods at a price payable in cash of $8.50 per share of The Smithfield
Companies' common stock. The Smithfield Companies emphasized that there can be
no assurance that a transaction at that price, or any price, will ultimately
occur.

         In connection with the negotiations, the parties have entered into an
exclusivity agreement, under which they have agreed to negotiate in good faith
regarding a potential acquisition, and The Smithfield Companies has agreed that
for the next twenty days it will negotiate exclusively with Smithfield Foods
regarding a potential acquisition.

         Any acquisition transaction would be subject to satisfactory completion
of Smithfield Foods' due diligence, negotiation and execution of a definitive
merger agreement, and customary closing conditions, including the approval of
the holders of more than two-thirds of the outstanding shares of common stock of
The Smithfield Companies. Smithfield Foods has, since 1991, been the owner of
shares of common stock of The Smithfield Companies which currently represent
approximately 20 percent of the outstanding shares.

         The Smithfield Companies, Inc. is a holding company producing specialty
food products through its operating units including The Smithfield Ham and
Products Co., V. W. Joyner & Co., Pruden Packing Co., E. M. Todd Co. and
Williamsburg Foods.

         With annual sales of $5.2 billion, Smithfield Foods is the leading
processor and marketer of fresh pork and processed meats in the United States,
as well as the largest producer of hogs.

         This news release may contain "forward-looking" information within the
meaning of the federal securities laws. The forward-looking information may
include statements concerning the companies' outlook for the future, as well as
other statements of beliefs, future plans and strategies or anticipated events,
and similar expressions concerning matters that are not historical facts. The
forward-looking information and statements are subject to risks and
uncertainties that could cause actual results to differ materially from those
expressed in, or implied by, the statements.